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Ber [7]
3 years ago
7

linear function in the form of y=mx+b for the line passing through 4.5, -4.25 with y-intercept of 2.5

Mathematics
1 answer:
Norma-Jean [14]3 years ago
4 0

Answer:

Plug in 2.5 for y to figure out b

And then plug in 4.5 for x to figure out m

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Risk taking is an important part of investing. In order to make suitable investment decisions on behalf of their customers, port
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a=49.5 -1.28*15=30.3

So the value of height that separates the bottom 10% of data from the top 90% is 30.3.  

If the score is lower than 30.3 we consider this score as risk averse

Step-by-step explanation:

Previous concepts

Normal distribution, is a "probability distribution that is symmetric about the mean, showing that data near the mean are more frequent in occurrence than data far from the mean".

The Z-score is "a numerical measurement used in statistics of a value's relationship to the mean (average) of a group of values, measured in terms of standard deviations from the mean".  

Solution to the problem

Let X the random variable that represent the scores of a population, and for this case we know the distribution for X is given by:

X \sim N(49.5,15)  

Where \mu=49.5 and \sigma=15

We are interested in the bottom 10% of the data.

For this part we want to find a value a, such that we satisfy this condition:

P(X>a)=0.9   (a)

P(X   (b)

Both conditions are equivalent on this case. We can use the z score again in order to find the value a.  

As we can see on the figure attached the z value that satisfy the condition with 0.1 of the area on the left and 0.9 of the area on the right it's z=-1.28. On this case P(Z<-1.28)=0.1 and P(z>-1.28)=0.9

If we use condition (b) from previous we have this:

P(X  

P(z

But we know which value of z satisfy the previous equation so then we can do this:

z=-1.28

And if we solve for a we got

a=49.5 -1.28*15=30.3

So the value of height that separates the bottom 10% of data from the top 90% is 30.3.  

If the score is lower than 30.3 we consider this score as risk averse

7 0
2 years ago
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